In this article, we discuss the 5 richest hedge fund managers in the world and their top stock picks. If you want to see more hedge fund managers, check out 16 Richest Hedge Fund Managers in the World.
5. Steve Cohen
Net Worth: $17.5 billion
Steve Cohen, a prominent figure in the world of hedge funds, established Point72 Asset Management and accumulated its gains through a high-risk/high-reward strategy. The firm began managing external capital in 2018 after a two-year supervisory ban resulting from insider trading charges against Cohen’s previous firm, SAC Capital. Despite adverse market conditions in 2022, Point72 Asset Management achieved a net gain of 10.3%, resulting in $1.7 billion in gains for Steve Cohen. In 2023, Cohen’s high-risk/high-reward strategy contributed to significant gains for the firm, as Point72’s $33 billion stock portfolio is heavily focused on high-growth tech, consumer discretionary, and communication companies, which performed exceptionally well in the first half of the year. At the end of Q3, Steve Cohen’s biggest position was in semiconductor giant NVIDIA Corporation (NASDAQ:NVDA) with 1.64 million shares valued at $715.87 million.
4. David Tepper
Net Worth: $18.5 billion
David Tepper is not only among the wealthiest hedge fund managers globally but also one of the richest individuals, with a current net worth estimated at an impressive $20 billion by Forbes Magazine. This substantial wealth is attributed to his hedge fund, Appaloosa Management, headquartered in Miami Beach, Florida, and established in 1993. In more recent times, David Tepper has expanded his interests, including ownership of multiple sports teams. Despite the media focus on his sports ventures, Appaloosa Management continues to operate smoothly behind the scenes. As of Q3 2023, the hedge fund’s investment portfolio was valued at $5 billion. This reflects a modest decrease of $300 million compared to the second quarter but a significant gain of $3.3 billion over the third quarter of 2022. Appaloosa Management’s biggest holding at the end of Q3 was Meta Platforms, Inc. (NASDAQ:META) which was worth over $585.4 million.
3. Ray Dalio
Net Worth: $19.1 billion
Ray Dalio, a highly regarded figure on Wall Street, has achieved success in the investment realm since the age of 12. His combination of business acumen and a Harvard education propelled Bridgewater Associates, the hedge fund he founded, to become the largest and one of the most successful hedge funds. The flagship fund of the hedge fund, Pure Alpha 11, maintained an average annual return of 11.4% from 1991 to 2022, surpassing overall market performance. He concluded his role as co-CEO of Bridgewater in 2017 and gradually withdrew from the positions of chairman and co-chief investment officer in 2021 and 2022, respectively. Bridgewater Associates’ top position at the end of the third quarter is The Procter & Gamble Company (NYSE:PG) with shares valued at $700.25 million.
2. Jim Simons
Net Worth: $28.1 billion
Jim Simons is a giant in the investment realm. Much like D. E. Shaw, he is renowned for his mathematical prowess, leveraging his numerical acumen to amass billions in the stock market. Simons established Renaissance Technologies, headquartered on Long Island, in 1982. His prestigious quantitative trading firm, overseeing approximately $50 billion in assets, gained fame for its Medallion Fund—a $10 billion black-box strategy exclusively accessible to Renaissance proprietors and employees. Despite his official retirement in 2010, Simons remains engaged with the firm and continues to reap rewards from its funds. Renaissance Technologies’ top holding as of Q3 2023 Novo Nordisk A/S (NYSE:NVO), with the fund owning more than 16.2 million shares worth $1.47 billion, representing 2.51% of the total 13F portfolio.
1. Ken Griffin
Net Worth: $35 billion
Ken Griffin is experiencing a surge in success, having achieved the most profitable year ever recorded for a hedge fund. In 2022, he set a record with a remarkable return of 153%, predicated on a strategic bet that inflation and interest rates would rise more than anticipated. His estimated net worth stands at $35 billion, marking a remarkable increase of $7.8 billion from the previous year and nearly tripling his value from 2020. Griffin has garnered attention with impressive reported returns, consistently surpassing 25% annually since 2016. Citadel Investment Group, Griffin’s multi-strategy firm founded in 1990, has a portfolio value totaling $466.5 billion, while his market-making venture, Citadel Securities, established in 2002, remains a lucrative enterprise, overseeing over 25% of all U.S. stock trades. Citadel Investment Group’s largest position at the end of the third quarter was a $1.5 billion position in Microsoft Corporation (NASDAQ:MSFT).
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